In a significant judgment on the law relating to product liability in India (Mohd. Hyder Khan v. Mercedes-Benz India Private Limited & Anr., First Appeal No. 10 of 2013, decided on 20 September 2024), the Hon’ble National Consumer Disputes Redressal Commission (“National Commission”), has ruled that an allegation of manufacturing defect must be established by cogent evidence and that compliance with Section 13(1)(c) of the Consumer Protection Act, 1986 is mandatory. The National Commission’s judgment puts to rest and clarifies certain key aspects regarding functioning of airbags. It also underscores the importance of seatbelts and that a vehicle’s deformation pattern alone (i.e., physical damage) cannot be a deciding factor in airbag deployment.
The National Commission’s Judgment assumes significance and lays down the below important principles:
- Seatbelt is the primary restraint mechanism in a vehicle. If a seat belt is not worn, the airbag would not deploy, and this aspect is clearly mentioned in the Owner’s Manual.
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To prove that a good suffers from a defect, especially a manufacturing defect, testimony of an expert is necessary.
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Section 13 (1) (c) of the Consumer Protection Act, 1986 is mandatory and requires that if there is any allegation that goods are defective, the Consumer Commission must get them inspected
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For the principle of res ipsa loquitor to apply, the facts must speak for themselves. But if there are no such facts on record, the principle cannot be applied.
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The damage pattern of a vehicle or the amount spent in repairing the vehicle cannot alone be determinative to apply the principle of res ipsa loquitor.
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A crumple zone in a vehicle is designed to absorb, reduce and redirect the energy. The crumple zone of a vehicle is meant to crumple, and this is to ensure that the integrity of the passenger compartment is maintained and protected. It is therefore a misconception that if a vehicle is badly damaged, airbags ought to have deployed.
Our disputes team comprised Lead Partner – Sidharth Sethi and Senior Associate – Avinash Das.
Sidharth’s practice covers diverse corporate commercial litigation, arbitration and alternative dispute resolution. He also advises and acts for clients in insolvency proceedings, global product liability litigations, constitutional & administrative law litigations, proceedings related to penal laws, white-collar crimes and corporate and forensic investigations.